Tax Deduction at Source on income from bonds or GDRs: rates vary for interest, dividends and long-term gains; timing mandated. Section 196C requires the person responsible for making payments to a non-resident to deduct tax at source at the time of credit or payment on income by way of interest or dividends and on long-term capital gains arising from transfer of bonds or Global Depository Receipts, with distinct withholding rates for interest/dividends and for long-term capital gains and an updated rate structure applicable to transfers occurring on or after the amendment date.